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Leases
 9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Leases Leases
During the three months ended September 30, 2024 and 2023, we had operating lease costs of $79,798 and $80,550, respectively, and variable lease costs of $16,783 and $16,111, respectively. During the nine months ended September 30, 2024 and 2023, we had operating lease costs of $238,569 and $239,636, respectively, and variable lease costs of $47,092 and $44,639, respectively. These operating lease costs are recorded in direct advertising expenses (exclusive of depreciation and amortization). For the three months ended September 30, 2024 and 2023, we recorded a gain of $61 and $68, respectively, in gain on disposition of assets related to the amendment and termination of lease agreements. For the nine months ended September 30, 2024 and 2023, we recorded a gain of $330 and $260, respectively, in gain on disposition of assets related to the amendment and termination of lease agreements. Cash payments of $264,093 and $259,440 were made reducing our operating lease liabilities for the nine months ended September 30, 2024 and 2023, respectively, and are included in cash flows provided by operating activities in the Condensed Consolidated Statements of Cash Flows.
We elected the short-term lease exemption which applies to certain of our vehicle agreements. This election allows the Company to not recognize lease right of use assets ("ROU assets") or lease liabilities for agreements with a term of twelve months or less. We recorded $2,638 and $2,523 in direct advertising expenses (exclusive of depreciation and amortization) for these agreements during the three months ended September 30, 2024 and 2023, respectively. We recorded $7,812 and $7,532 in direct advertising expenses (exclusive of depreciation and amortization) for these agreements during the nine months ended September 30, 2024 and 2023, respectively.
Our operating leases have a weighted-average remaining lease term of 12.4 years. The weighted-average discount rate of our operating leases is 5.1%. Also, during the nine months ended September 30, 2024 and 2023, we obtained $9,912 and $17,906, respectively, of leased assets in exchange for new operating lease liabilities, which includes liabilities obtained through acquisitions.
The following is a summary of the maturities of our operating lease liabilities as of September 30, 2024:
2024$41,953 
2025224,500 
2026189,690 
2027166,049 
2028143,779 
Thereafter975,779 
Total undiscounted operating lease payments1,741,750 
Less: Imputed interest(458,777)
Total operating lease liabilities$1,282,973 
During the three months ended September 30, 2024 and 2023, $713 of amortization expense for each period and $115 and $125, respectively, of interest expense relating to our financing lease liabilities were recorded in depreciation and amortization and interest expense, respectively, in the Condensed Consolidated Statements of Income and Comprehensive Income. During the nine months ended September 30, 2024 and 2023, $2,140 of amortization expense for each period and $351 and $382, respectively, of interest expense relating to our financing lease liabilities were recorded in depreciation and amortization and interest expense, respectively, in the Condensed Consolidated Statements of Income and Comprehensive Income. Cash payments of $998 were made reducing our financing lease liabilities for each of the nine months ended September 30, 2024 and 2023, and are included in cash flows used in financing activities in the Condensed Consolidated Statements of Cash Flows. Our financing leases have a weighted-average remaining lease term of 3.2 years and a weighted-average discount rate of 3.1%.
Due to our election not to reassess conclusions about lease identification as part of the adoption of ASC 842, Leases, our transit agreements were accounted for as leases on January 1, 2019. As we enter into new or renew current transit agreements, those agreements do not meet the criteria of a lease under ASC 842, therefore they are no longer accounted for as a lease. For the three months ended September 30, 2024 and 2023, non-lease variable transit costs were $23,559 and $22,023, respectively. For the nine months ended September 30, 2024 and 2023, non-lease variable transit costs were $70,551 and $62,661, respectively.
These transit expenses are recorded in direct advertising expenses (exclusive of depreciation and amortization) on the Condensed Consolidated Statements of Income and Comprehensive Income.
Leases Leases
During the three months ended September 30, 2024 and 2023, we had operating lease costs of $79,798 and $80,550, respectively, and variable lease costs of $16,783 and $16,111, respectively. During the nine months ended September 30, 2024 and 2023, we had operating lease costs of $238,569 and $239,636, respectively, and variable lease costs of $47,092 and $44,639, respectively. These operating lease costs are recorded in direct advertising expenses (exclusive of depreciation and amortization). For the three months ended September 30, 2024 and 2023, we recorded a gain of $61 and $68, respectively, in gain on disposition of assets related to the amendment and termination of lease agreements. For the nine months ended September 30, 2024 and 2023, we recorded a gain of $330 and $260, respectively, in gain on disposition of assets related to the amendment and termination of lease agreements. Cash payments of $264,093 and $259,440 were made reducing our operating lease liabilities for the nine months ended September 30, 2024 and 2023, respectively, and are included in cash flows provided by operating activities in the Condensed Consolidated Statements of Cash Flows.
We elected the short-term lease exemption which applies to certain of our vehicle agreements. This election allows the Company to not recognize lease right of use assets ("ROU assets") or lease liabilities for agreements with a term of twelve months or less. We recorded $2,638 and $2,523 in direct advertising expenses (exclusive of depreciation and amortization) for these agreements during the three months ended September 30, 2024 and 2023, respectively. We recorded $7,812 and $7,532 in direct advertising expenses (exclusive of depreciation and amortization) for these agreements during the nine months ended September 30, 2024 and 2023, respectively.
Our operating leases have a weighted-average remaining lease term of 12.4 years. The weighted-average discount rate of our operating leases is 5.1%. Also, during the nine months ended September 30, 2024 and 2023, we obtained $9,912 and $17,906, respectively, of leased assets in exchange for new operating lease liabilities, which includes liabilities obtained through acquisitions.
The following is a summary of the maturities of our operating lease liabilities as of September 30, 2024:
2024$41,953 
2025224,500 
2026189,690 
2027166,049 
2028143,779 
Thereafter975,779 
Total undiscounted operating lease payments1,741,750 
Less: Imputed interest(458,777)
Total operating lease liabilities$1,282,973 
During the three months ended September 30, 2024 and 2023, $713 of amortization expense for each period and $115 and $125, respectively, of interest expense relating to our financing lease liabilities were recorded in depreciation and amortization and interest expense, respectively, in the Condensed Consolidated Statements of Income and Comprehensive Income. During the nine months ended September 30, 2024 and 2023, $2,140 of amortization expense for each period and $351 and $382, respectively, of interest expense relating to our financing lease liabilities were recorded in depreciation and amortization and interest expense, respectively, in the Condensed Consolidated Statements of Income and Comprehensive Income. Cash payments of $998 were made reducing our financing lease liabilities for each of the nine months ended September 30, 2024 and 2023, and are included in cash flows used in financing activities in the Condensed Consolidated Statements of Cash Flows. Our financing leases have a weighted-average remaining lease term of 3.2 years and a weighted-average discount rate of 3.1%.
Due to our election not to reassess conclusions about lease identification as part of the adoption of ASC 842, Leases, our transit agreements were accounted for as leases on January 1, 2019. As we enter into new or renew current transit agreements, those agreements do not meet the criteria of a lease under ASC 842, therefore they are no longer accounted for as a lease. For the three months ended September 30, 2024 and 2023, non-lease variable transit costs were $23,559 and $22,023, respectively. For the nine months ended September 30, 2024 and 2023, non-lease variable transit costs were $70,551 and $62,661, respectively.
These transit expenses are recorded in direct advertising expenses (exclusive of depreciation and amortization) on the Condensed Consolidated Statements of Income and Comprehensive Income.